Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of ChemoCentryx (CCXI) -- a biopharmaceutical company focused on developing oral autoimmune and inflammatory disorder therapies, and treatments for cancer -- slumped as much as 27% after reporting top-line interim mid-stage results for CCX140 in patients with diabetic nephropathy.
So what: According to the company's press release, CCX140, a CCR2 inhibitor, was well tolerated in trials. After 12 weeks, the 5 mg dosing group exhibited a 12% reduction in urinary albumin creatinine ratio relative to a 1% increase for the placebo while the 10 mg dose demonstrated an 8% reduction. While these results sounds decent and would show that CCX140 is having some effect on protein levels within diabetic patients' damaged kidneys, the results didn't match expectations outlined in August of a 20% reduction in protein levels, as noted by senior biotech columnist at TheStreet, Adam Feuerstein.
Now what: ChemoCentryx plans to continue its ongoing phase 2 study of CCX140 given the prospect of success in a predefined subset of patients, but it's been a dismal month for the company overall. Last month, ChemoCentryx saw nearly half of its market value evaporate after the failure of vercirnon in late-stage trials for the treatment of Crohn's disease, and now this. Clearly not all hope is lost and CCX140 may still prove noteworthy, but in the interim ChemoCentryx has lost nearly all of the catalysts that would push its stock higher.
